Zale President & CEO Mary L. Forte Resigns
January 31, 06
Zale Corporation announced Monday that Mary L. Forte, president and CEO and member of the board, has resigned from the corporation. The board of directors has named board member Betsy Burton Interim CEO, effective immediately, until Forte's successor is named. Zale's shares fell 22 cents to close at $24.63 on the New York Stock Exchange.
There has been no comment about Forte's reasons for leaving the company, which she had been with for 11 years and a member of its board since 2003.
Commenting on the planned change in leadership, Richard C. Marcus, chairman of the board of directors, remarked, "The board is committed to making sure we find the right leadership. We are pleased to have Betsy help lead this transition process as the board conducts its internal and external search for a new CEO."
Zale's 2005 holiday season sales were mixed. November comparable store sales decreased approximately 6 percent, while December comparable store sales increased over 3 percent and increased 0.9 percent for the combined months of November and December.
Total revenues for the two-month period also increased from $844 million to $861, an increase of 2 percent.
The retailer announced a net loss of $23.7 million for the first quarter ended
For the same 2004 period, Zale reported a net loss of $10.9 million.
Total revenues for the quarter were $428 million, compared to $423 million in 2004, an increase of 1.2 percent.
Zale Corporation is North America's largest specialty retailer of fine jewelry operating approximately 2,400 retail locations throughout the United States, Canada and Puerto Rico, as well as online.